Despite the bad press, half of America is still considering an EV or hybrid car — they just want them to be cheaper
A new study closely tracks new EV shopper habits and reveals that despite the bad press, half of America is still considering an EV or hybrid car. This article explores the findings of the study and highlights the opportunities and challenges for EV manufacturers.
More Than Half of US Car Consumers Considering Electric or Hybrid Cars
A new study from GBK Collective has found that half of the more than 2,000 US car consumers they interviewed were considering either an electric or a hybrid car for their next vehicle purchase. This is in contrast to the current ownership trends where only 14% of those surveyed already own a plug-in or hybrid vehicle.
The study reveals a huge opportunity for EV manufacturers to cater to the needs of these car consumers who are curious about green cars. These potential buyers are typically later adopters who are motivated by functional needs and pragmatic considerations such as total cost of ownership and charging requirements.
Toyota Tops Tesla as the Most Considered Brand
The study also highlights a shift in preferences among EV considerers. Toyota emerged as the most considered brand, with 47% of respondents showing a preference for the Japanese automaker compared to 41% favoring Tesla. Legacy car brands like Ford are also gaining traction.
The budget-minded EV shoppers in the study have a median budget of $50,000 for their next vehicle purchase, and they prioritize environmental impact and savings. This suggests that a more pragmatic buyer has taken over the EV segment, favoring hybrid-heavy approaches like Toyota's over the EV-heavy approaches of other legacy car companies.
Affordability and Practicality Remain Key, But Consumers Are Willing to Pay a Premium
While affordability and practicality are top priorities for the next wave of EV shoppers, the study found that these consumers are still willing to pay a premium for a battery-powered car that meets their needs. On average, EV considerers are willing to pay $7,650 more for an EV compared to a gas-powered car with similar features.
Plug-in hybrid considerers are also willing to pay a premium of $6,905 on average. This suggests that there is still room for companies to charge higher prices for green cars, although the premium has decreased compared to the early days of wealthy early adopters.
